The third most valuable company in the world, Microsoft, has let go of about 1,000 of its employees across different divisions and regions due to the problems plaguing the global economy. Some of the divisions affected by this move are Microsoft Gaming, Experiences and Devices, and its legal department. Also, the move affected staff members across all experience levels, with even veteran workers getting cut.

This report comes from Axios and reaffirms the company's moves to operate with a leaner workforce.

Earlier in the year, Microsoft slowed down its hiring process for multiple divisions. Microsoft also gave about 1,800 employees their marching orders in July across several departments including consulting and customer solutions.

While Microsoft corroborated the report, the company didn't reveal how many it laid off or the departments affected. In a statement it released to address the situation, the company had this to say:

Like all companies, we evaluate our business priorities on a regular basis, and make structural adjustments accordingly. We will continue to invest in our business and hire in key growth areas in the year ahead.

Employee layoffs have become the norm rather than the exception this year as over 44,000 tech staff members have lost their jobs according to Crunchbase data.

The unfortunate occurrence cuts across the entire tech industry from Web3 companies to streaming giants and established tech companies like Snap and Patreon. In fact, Microsoft is not the only big tech company that is taking steps to trim its workforce. Last month, Google announced the closure of its cloud gaming service Stadia early next year because of its underwhelming performance with the target user base. Similarly, Meta revealed it will close down its Facebook Gaming app barely two years after its release.

In other news, Microsoft is currently in the process of acquiring one of the biggest game publishing companies in Activision Blizzard in a deal worth almost $70 billion.

Unfortunately, the deal is in danger of being scuttled as the UK's Competition and Markets Authority (CMA) as well as the USA's Federal Trade Commission (FTC) haven't approved the deal.